DAN KELLY

OTTAWA – With the federal election underway, the Canadian Federation of Independent Business (CFIB) is releasing its small business platform with 13 key recommendations on improving Canada’s business environment.

“Small business confidence is now at an all-time low. It’s hard to compete, businesses are afraid to invest, and red tape is just killing productivity. Now we find ourselves in the midst of a trade war with our largest trading partner, in addition to a fresh round of Chinese tariffs. The business climate in Canada needs a complete overhaul. The next federal government must take swift and decisive action to keep our entrepreneurs from closing their doors over bad tax and regulatory policies,” said Dan Kelly, CFIB president.

CFIB’s most recent survey found that four in five small businesses are already facing disruptions due to the Canada-U.S. trade war, and nine in 10 are struggling with business planning. A third (32%) of business owners have already shifted to suppliers/markets within Canada, 27% plan to increase their investment in Canada, while a third intend to reduce investment in the U.S. over the next six months.

However, only three in 10 businesses are confident that their actions will help offset the impact of the trade war.

The current trade war with the U.S. and China requires bold and urgent action. Reducing the overall tax burden and addressing the cost of doing business are top small business priorities for the next government. CFIB recommends the next federal government focus on:

•    Carbon tax: Passing legislation to formally eliminate the carbon tax and ensuring the small business carbon tax rebates are tax free. Government should also follow through on its promise to extend the qualifying deadline for past rebates to December 31, 2024.
•    The federal small business tax rate: Government should immediately lower the rate from 9% to 0% for the foreseeable future to help SMEs withstand the impacts of tariffs.
•    The lifetime capital gains exemption (LCGE): CFIB calls on Ottawa to legislate the planned LCGE increase to $1.25 million.
•    Payroll taxes: Employment Insurance premiums for smaller employers must be lowered to the same rate paid by employees.
•    Internal trade: Ottawa should work with provinces to eliminate all internal trade barriers by adopting mutual recognition of each other’s rules, permits and regulatory regimes.

“We must ensure Canadian small businesses are able to compete globally and have the time and resources to invest and grow their operations. As all parties build their platforms, we urge them to keep small business needs front and centre to help mitigate the impact of the tariffs and build a more prosperous Canada,” said Corinne Pohlmann, Executive Vice-President of Advocacy at CFIB.

Dan Kelly is president of CFIB 

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The Business Examiner South Vancouver Island provides business news, advice, and data for the following communities:Brentwood Bay, Central Saanich,Colwood, Esquimalt, Highlands, James Bay, Langford, North Saanich, Oak Bay, Saanich, Sidney, Sooke, Victoria,and View Royal
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